New York's Empire State Index dropped to a record low of -25.8, after reaching a previous low of -25.4 last month. The index is an indicator of manufacturing activity in the Northeastern region of the United States. Any reading below zero represents a contraction in manufacturing activity. Stocks have shown weakness today as a result, but the Dow is off less than 100 points since Friday's close. Still, after rising nearly 100 points last night, stocks have given up all their gains and more so far today. I have found that if stocks decline less than 100 points following bad news, there is usually a good chance that they will recover. Unless more bad news comes out today, the dip is not that significant to me. Monday, December 15, 2008
Empire State Index Drops to New Low
New York's Empire State Index dropped to a record low of -25.8, after reaching a previous low of -25.4 last month. The index is an indicator of manufacturing activity in the Northeastern region of the United States. Any reading below zero represents a contraction in manufacturing activity. Stocks have shown weakness today as a result, but the Dow is off less than 100 points since Friday's close. Still, after rising nearly 100 points last night, stocks have given up all their gains and more so far today. I have found that if stocks decline less than 100 points following bad news, there is usually a good chance that they will recover. Unless more bad news comes out today, the dip is not that significant to me. 
